CORPORATE SOCIAL RESPONSIBILITY: APPLYING SUSTAINABILITY PRINCIPLES IN STAKEHOLDER ENGAGEMENT

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Abstract

There is a strong ethical case to redress poverty and inequality in South Africa. The South African corporate sector has been called upon to take responsibility for the ways their operations impact societies. There has been considerable change in the way the corporate sector concerns themselves with applying sustainability principles to the ways in which they conduct their business specifically in their social interactions with stakeholders. This sees the South African corporate sector investing millions to support sustainable community development and social programs. The total corporate social responsibility (CSR) expenditure in South Africa was estimated to amount to R8.2 billion in 2013/2014 (Trialogue, 2014). Although major South African and multinational companies have had ample opportunity to express and communicate their views on the potential of CSR, the voices of communities continue to be thwarted and stifled when they should logically lie at the heart of effective change management interventions. Business has the obligation, and also the resources, to make a contribution to communities in which they operate. This article investigates the South African business sectors involvement in stakeholder engagement and describes two cases of major South African companies and their increased value for a stakeholder governance model.

Keywords: Corporate Social Responsibility, Sustainability, Triple Bottom Line, Legislation, Change Management Interventions, Community.

JEL Classification: M14, G32

Date received: 10 November 2016

Date accepted: 14 January 2017

How to cite this paper: Rampersad, R. (2017). Corporate social responsibility: Applying sustainability principles in stakeholder engagement. Corporate Ownership & Control, 14(2-1), 222-229. https://doi.org/10.22495/cocv14i2c1p8